FRANKFORT, Ky. — New construction is surging in Kentucky.

What You Need To Know

  • Property search company, NeighborWho, analyzed U.S. Census Bureau data for a new report

  • It found there was a nearly 19% increase in new, single-family home permits in Kentucky from 2019 to 2020

  • That mirrors a national trend as new home permits reached a 13-year high in 2020

  • As housing demand has far outpaced supply, this could help level out the housing market in Kentucky

There was a nearly 19% increase in new home permits in Kentucky from 2019 to 2020, according to a report from NeighborWho. It’s a property search company that had a team analyze U.S. Census Bureau data.

Nationally, the report found requests for new, single-family home permits dropped significantly in the early 2000s. Then, permit requests started slowly rising again around 2012. In 2020, the NeighborWho report found new single-family home permits reached a 13-year high across the country.

That spike comes as demand for homes greatly outpaces supply. According to Kentucky Realtors, that’s especially the case here in the south, which accounted for 44% of total home sales over the past year.

Right now, since there aren’t enough homes listed to keep up with demand, the ones that are typically fly off the market fast. Kentucky Realtors say that often leads to homes going selling over asking price. That makes it a good market for sellers, but tough for buyers.

If more homes are built, it could add more supply to the market. That, in turn, could level out the turbulent housing market.